ConnectWise has appointed Manny Rivelo as the new CEO, succeeding Jason Magee, who led the company to significant growth, increasing revenue by over 300% and profitability by 500% since 2019. Rivelo, with over 30 years of experience in the technology sector, aims to build on this success, particularly leveraging opportunities presented by AI for managed service providers (MSPs). Magee will assist in the transition to ensure continuity and maintain the company’s partner-first focus.
So, let’s look at the context. HaloPSA has partnered with NinjaOne to create a top-tier platform to compete with Kaseya 365, focusing on providing high-quality tools rather than the cheapest options. This collaboration enhances service capabilities for managed service providers (MSPs) and includes new AI-driven features to streamline operations. Additionally, HaloPSA announced Halo Gravity, a business improvement service to help MSPs improve efficiency and scalability. The partnership aims to address previous challenges MSPs face using separate platforms and positions both companies for future growth in the PSA market.
GoTo Resolve has introduced new software asset management features that enhance IT asset visibility and control, complementing existing hardware management capabilities. This unified solution allows IT teams to track software licenses, optimize usage, manage costs, ensure compliance, and streamline onboarding and offboarding processes, ultimately improving IT operations and reducing unnecessary expenses.
This transition is more than just a change in leadership; it signals ConnectWise’s intent to double down on leveraging AI as a differentiator. Rivelo comes with that experience, so I’m inclined to believe that’s the reason why.
Is there a potential platform war around managed services? Kaseya is driving on price. ConnectWise appears to be leaning into function. Halo and Ninja bulk up by partnering. If we look at Canalys’ March 2024 estimates, Halo + Ninja combined are 9.8% of the market, with Ninja being the majority of that. That puts them in striking distance of number three, N-Able at 11.5%. Disclosure, I’m a shareholder in N-Able.
For those who wonder if Halo and Ninja would merge, NinjaOne has Summit Partners and Insight Partners as investors, and Halo is privately funded – and UK based, which is just notable for different market conditions. Insight does like the MSP space, with investments in Kaseya and ConnectWise. Nothing is stopping them from a third in this space. They have money in other PSA products in other markets. So, distinctly possible.
On a personal note, I have always enjoyed my conversations with Jason Magee, and five years is a good run. He’s been generous with his time to answer my questions. I wish him all the best.